AutoNation Inc (AN)

Fixed asset turnover

		Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Revenue (ttm)	US$ in thousands	26,948,900	26,878,500	26,651,800	26,630,900	26,985,000	26,870,300	26,583,800	26,693,000	25,844,000	25,046,800	24,072,200	21,626,800	20,390,000	20,153,800	20,210,100	21,020,900	21,335,700	21,198,500	21,086,500	21,134,700
Property, plant and equipment	US$ in thousands	3,791,600	3,723,500	3,713,400	3,656,000	3,607,200	3,499,300	3,466,300	3,413,600	3,419,500	3,218,500	3,094,700	3,107,100	3,138,100	3,125,100	3,143,900	3,164,900	3,174,600	3,130,800	3,115,200	3,129,600
Fixed asset turnover		7.11	7.22	7.18	7.28	7.48	7.68	7.67	7.82	7.56	7.78	7.78	6.96	6.50	6.45	6.43	6.64	6.72	6.77	6.77	6.75

December 31, 2023 calculation

Fixed asset turnover = Revenue (ttm) ÷ Property, plant and equipment
= $26,948,900K ÷ $3,791,600K
= 7.11

Autonation Inc.'s fixed asset turnover ratio has shown relatively consistent performance over the past eight quarters, ranging from 7.11 to 7.82. This ratio measures the efficiency with which the company utilizes its fixed assets to generate sales revenue.

The high fixed asset turnover values indicate that Autonation is generating sales efficiently relative to its investment in fixed assets. However, there was a slight downward trend from Q1 2022 to Q1 2023, which may suggest a decline in the effectiveness of utilizing fixed assets in generating revenue.

Overall, the consistency of the fixed asset turnover ratio above 7 indicates that Autonation has been effectively leveraging its fixed assets to drive sales, but analysts should closely monitor any potential fluctuations to ensure optimal asset utilization in the future.